Tactics To Make Money On Amazon
Work on your business before your business works for you.
"An investment in knowledge pays the best interest." - Benjamin Franklin
Because Amazon makes it possible to showcase and display your brand to zillions of customers and business houses - 24 hours a day, every day. Amazon is the worldwide largest e-commerce storefront that is the most visited shopping destination. This is THE platform to kick-start your selling voyage, expanding your business horizons, never once looking back.
"Money is multiplied in practical value depending on the number of W's you control in your business: what you do, when you do it, where you do it, and with whom you do it." - Tim Ferriss
Taking your Amazon selling to 'money making' heights, requires a lot of learning and a lot of patience on your end. It, however, does not call for a continuous grind or endless work hours. If you can manage a couple of hours a day, that's plenty. All you need is consistency and the drive to experiment day after day, month after month till you hit success.
There are tons of strategies that aim at making dough through selling on Amazon. What you need to understand is - what works and what does not work for you. To resolve the dilemma, we are here for you. We are busy setting sail on your e-commerce boat and getting you afloat across the ocean of Amazon selling. To help you find what method works best for your brand, this article dives into several ways to earn bills on Amazon. Let's get to it.
1. Sell Private Label Products Via Amazon FBA
It is almost impossible to get noticed and get traction with no prominent distinction between your product and that of the competitors. It is difficult to see "me too" products on this vast ocean of Amazon. Instead, you need to stand out stark from the competition. You need to find some unique, desirable improvement or trait to the existing product. It involves researching and resourcing a product that is in high demand but manufactured in its unbranded state. The product is improvised much to consumer expectations and then you brand it, put your own logo (private label) and sell it.
Private label is a process whereby you manufacture a pre-existing product (preferably with product improvements), then put your own brand and logos on it, and sell it to consumers. Sometimes it is referred to as white-labeling or brand-creation.
Selling Private Label on Amazon steps:
Conduct thorough research on the product
Establish a direct connection with the manufacturer
Negotiate as hard as you can
Check for the positive credentials of the supplier before striking any deal.
Try sampling the product.
Invest in quality design, high performance, increased durability, and branding of your product.
Create a distinctive Amazon listing
Make use of FBA.
2. Become an Affiliate / Amazon Associate
Start with writing blogs, creating websites, and dedicating a page on your social media site as a means of binding the audience. Once you have the target potential customers, you may recommend the high quality and positive credibility products, available on amazon to this audience of yours. Look at it like this - You find a 'good' product on Amazon, send your contacts, the link, and if they buy it on your recommendation, you get paid a commission. On your social media site or through email or on your blog, that link goes out to more potential buyers, thus making more commission money for you. If you write in-detail views and reviews about say, smartphones, for instance, you may include referral links for brands in the 'mobile phone' category on the Amazon marketplace.
Amazon Associate or Affiliate is a platform wherein you can sign up to get special links that only you would be eligible to share. Once this link is shared and the purchase made, you shall earn a good percentage, say up to 10%, depending on the product.
Becoming an Amazon affiliate steps:
Join - It is convenient and free of cost. Get up and running about. No third-party advertiser approvals.
Advertise - You have the option to choose from a horde of products. You may have a large network, or you may be a blogger; Amazon has simple link tools to match your advertising needs, thus monetizing your website.
Earn - Competitive conversion rates may help you maximize your profits. You may get up to 10 percent as commission earnings.
3. Sell With Amazon Merch
If you have expertise in fabric designing, you can give this a try. You may be able to generate a decent income by designing and selling t-shirts and other such textiles through Merch by Amazon. This is a platform that allows you to sell your artwork ideas as Amazon products and that too wherein you incur no expenses. Amazon takes on the responsibility of printing, packaging, shipping and also providing support to the customers. As income, you are paid a royalty on every design of yours that is sold by the company. The payout however shall be based on product cost and tax and Amazon's expense for the service provided. Design software such as Canva and Photoshop allows you to create typography and design apt for printing on a t-shirt.
Merch by Amazon is a self-service platform that helps you increase your revenue through selling t-shirts designed by you and printed, produced, packaged, and sold by Amazon. With the print-on-demand service, you sell only the t-shirts desired by your shoppers. For every t-shirt sold, you shall earn royalty. The more the number of t-shirts sold, the higher the royalty sum.
Merch by Amazon steps :
Design your t-shirt - This design may be a logo, animal print, any icon, or some of your unique artwork. You may even use available templates to create your designs.
Set the list price - You earn a royalty on every t-shirt sold. This royalty is your list price for your t-shirt minus Amazon's costs and a small listing fee.
Create an account - To create the Merch by Amazon account, submit your contact information and banking details to enable the royalty payment to be deposited into your bank account.
Promote and sell - Amazon creates a t-shirt product page for each design submitted by you. This page enables you to add links directly to your t-shirts on your websites, blogs or email, or your social media page.
4. Retail Arbitrage
The term may sound complex, but the underlying concept is simple. A seller purchases products from a retail store at a discounted price and sells these products for a profit margin. Starting to sell on Amazon through Retail Arbitrage may sound utterly convenient. It does not take a lot of hard work to find success here. Let's take a simple toothbrush, for instance. You visit a local Walmart or some other retail outlet and find that a particular brand of toothbrushes is on sale. A $3 toothbrush is being sold for $2. You buy 100 of these brushes at a discounted price and put up a listing on Amazon selling the same brush for $2.90. This gives you a healthy margin, though compared to retail price, it still stands cheaper.
Retail Arbitrage is quite the opposite of private labelling. It simply implies buying low, selling high. Many sellers spend a lot of time scanning through local Walmart, looking for the best and cheapest deals on just about anything. They buy up items that are on clearance and sell these on Amazon.
Selling through Retail Arbitrage steps :
Create an Amazon seller account - An individual seller account is free to create, but you pay $0.99 for every sale you make on Amazon, plus a 15 percent consolidated fee on these sales. A professional account sets you back $39.99 per month, plus some additional referral fee.
Source your product - We recommend sourcing products at clearance sales to get optimum prices. Do not, however, compromise on quality.
List your product and sell it - Remember always that optimizing product listing goes a long, long way when driving sales traffic. Keep altering your prices to stay competitive.
5. Sell Through Amazon FBA
Let Amazon pick, pack and deliver your orders. FBA's flexible rate structure states that you pay no additional subscription fee, no minimum inventory units, and nil start-up fee. If you wish to make money on Amazon without having to worry about packaging and shipping and about customers support, then FBA is the solution. With FBA, you can let Amazon care for your inventory and deliver it to your customers. All you have to do is send your stock to one of Amazon's fulfillment centers.
FBA means "Fulfilled by Amazon". As a seller, you ship your inventory of products to Amazon's warehouses and let them take care of shipping and delivering it for you. This service helps you increase your online sales by giving you access to Amazon's first-class fulfillment resources, fast, free delivery options for your items, and trusted and acclaimed customer service.
Selling via FBA steps:
Set up FBA - Create your Amazon selling account. Login to Amazon Seller Central and set up FBA.
Create product listings - Once you have added your products to the Amazon catalogue, specify your FBA stock therein.
Prepare your products - Prepare your items for safe transportation to the Amazon fulfillment center, as per the Amazon packing guidelines and also shipping and routing requirements.
Ship your products to Amazon - Chalk out your delivery plan, print Amazon ID labels, and send your shipment to Amazon fulfillment centers.
You might start with just a single product on Amazon. However, if you really want to make some money, you're going to have to expand and sell a whole range of items. You have to closely look at the market to see what is selling well and then jump on the bandwagon. What's even more interesting is the multiple facilities you are getting as a seller. By opting for FBA, you can save yourself from delivering products as the Big guy would make sure, your package reaches the place at the right time. Anyone can become a seller and start making money without much effort. All you got to do is decide which niche you want to choose and, boom, you are in the game!
By: Pawan Prabhat